Tesla has announced it will offer 2,703,027 shares of common stock along with $450 million worth of convertible senior notes that mature by 2018. The money raised from this public offering will primarily be used to pay off Tesla's Department of Energy loan with interest.

Tesla CEO and co-founder Elon Musk will purchase $100 million worth of the shares himself, with $45 million purchased from the common stock offering and $55 million bought directly from Tesla in a private sale. The underwriters will have a 30-day option to purchase up to 405,454 additional shares and $67.5 million worth of convertible notes, which can be converted into cash or shares of Tesla stock when they mature.Tesla stock ended trading today at $84.84 a share, up significantly from last week's price in the mid- to high $50 range. The surge in price is attributable to Tesla posting its first quarterly profit, with the company generating $11.2 million net income in the first quarter of 2013.Though Tesla's revised financing option may have lead to higher consideration among luxury buyers, the brand is still only selling variations of one vehicle. Whether Tesla can maintain its momentum remains to be seen.Source: Tesla

What they fail to mention here is 64 million of 100% profit revenue comes from selling energy credits from the state of California automakers. It is 14% of the companies total revenue. So basically, the would have lost 53 million if they could not sell credits created by a ridiculous California regulation. What a business model!

adding 2.7 million shares shouldn't reduce the value of the shares already on the market at all..... I'd be pissed if I owned Tesla stock and they just kept creating more shares, putting money in their pocket and reducing the value of my investment

tesla is paying their loans off early, we all could learn a lot from that. I wish I had the money to buy some of this stock, these guies want to be GMe (e for electric), which means their stock could be worth quite a lot in 20 years.